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Impact of Proposition 32 Rejection

The decision by Californians to reject Proposition 32, which would have increased the state's minimum wage from $16 an hour to $18 an hour by 2026, has significant implications for the state's labor market and economy. With a narrow margin of 50.8% of voters voting against the proposition, the rejection marks a notable stance on wage policies in the state. Critics of the bill raised concerns about potential further price inflation and job cuts had the proposition passed. This rejection emphasizes the balancing act between wage increases and economic stability.